Trump was narrowly leading Biden in the vital battleground state of Florida, while other swing states that will help decide the election outcome remained up in the air.
Investors were initially limbering up for a Biden win, who was expected to inject the market with potentially large stimulus measures to help weather the economic fallout from the COVID-19 pandemic.
Gold futures on MCX were down 0.50 per cent or Rs 260 at Rs 51,338 per 10 grams. Silver futures dipped 1.65 per cent or Rs 1,035 to Rs 61,650 per kg.
In the spot market, gold prices rose Rs 55 to Rs 50,735 per 10 gram in the national capital on Tuesday, tracking strong global trends, according to HDFC Securities. Silver prices also gained Rs 170 to Rs 61,780 per kilogram.
Globally, gold fell more than 1 per cent on Wednesday as the dollar strengthened after early voting results showed a close contest between President Donald Trump and Democratic rival Joe Biden in the U.S. presidential election, with the former leading in Florida.
Spot gold fell 0.8 per cent to $1,893.93 per ounce by 0254 GMT. US gold futures fell 0.9 per cent to $1,894.20.
The dollar was up 0.7 per cent against a basket of major currencies.
Silver fell 2.4 per cent to $23.59 per ounce. Platinum dropped 1.3 per centto $855.78 and palladium was down 1 per cent to $2,260.05.